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SML and WACC An all-equity firm is considering the following projects: Project Beta IRR W .80 9.4% X .95 10.9% Y 1.15 13.0% Z 1.45
SML and WACC An all-equity firm is considering the following projects:
| Project | Beta | IRR |
| W | .80 | 9.4% |
| X | .95 | 10.9% |
| Y | 1.15 | 13.0% |
| Z | 1.45 | 14.2% |
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The T-bill rate is 3.5 percent, and the expected return on the market is 11 percent.
a. Which projects have a higher expected return than the firm
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